Income Taxes

9 Months Ended

Mar. 27, 2020

Income Tax Disclosure [Abstract]

Income Taxes

Income Taxes

The Company recorded an income tax provision of $5,363 and $5,357 on income before income taxes of $28,928 and $19,466 for the third quarters ended March 27, 2020 and March 31, 2019, respectively. The Company recorded an income tax provision of $8,455 and $12,969 on income before income taxes of $66,943 and $46,940 for the nine months ended March 27, 2020 and March 31, 2019, respectively.

During the third quarters ended March 27, 2020 and March 31, 2019, the Company recognized a discrete tax benefit of $159 and $143, respectively, related to excess tax benefits on stock-based compensation. During the nine months ended March 27, 2020 and March 31, 2019, the Company recognized a discrete tax benefit of $6,639 and $1,858, respectively, related to excess tax benefits on stock-based compensation.

The Company recognized a discrete tax benefit of $1,005, net of a $251 tax reserve, related to research and development credits and an $813 discrete tax benefit from a release of a valuation allowance on a capital loss carryforward, during the third quarter and nine months ended March 27, 2020.

The effective tax rate for the third quarters ended March 27, 2020 and March 31, 2019 differed from the Federal statutory rate primarily due to Federal research and development credits, excess tax benefits related to stock-based compensation, a release of a valuation allowance on a capital loss carryforward, a modified territorial tax system and a minimum tax on certain foreign earnings, and state taxes.

The effective tax rate for the nine months ended March 27, 2020 and March 31, 2019 differed from the Federal statutory rate primarily due to Federal research and development credits, excess tax benefits related to stock-based compensation, a release of a valuation allowance on a capital loss carryforward, a modified territorial tax system and a minimum tax on certain foreign earnings, and state taxes.

The Company recorded an increase to its unrecognized tax positions of $251 related to research and development credits claimed on an amended Federal tax return